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This study analyzes the life cycle costs of railway projects involving hybrid diesel-electric multiple units, focusing on the influence of lithium-ion battery technologies and energy management strategies. Specifically, 3 lithium-ion battery technologies and 6 energy management strategies are proposed, leading to a sensitivity analysis composed of 18 cases. In addition, for each case an approach for the optimal sizing of the diesel generator and lithium-ion battery is proposed. A scenario based on a real railway line is introduced and the results are compared to a traditional diesel-electric multiple unit. Potential life cycle cost savings of 16.0% are obtained when deploying a global optimization-based energy management strategy and LTO batteries.